All Forum Posts by: Andrew Flora

I had not thought of using those, that's a great idea.  Ill try those out, if that doesn't work I will probably install a couple vent fans.  I would like to improve the air quality instead of just masking the problem but this might be a good fix for now as I tackle other big budget items higher on the priority list.

Thanks.

Hi,

I have a large multi family property that I self manage. It has 3 common indoor hallways that are about 120ft long 1 on each floor and stairwells. In the past the building has allowed smoking, and I have since changed that but the hallways smell of smoke and of just a generally musty and stale air.

The tenants seem used to it but I would like to freshen the place up a bit, especially since I spent several hours a week there. What is the best way to fix this issue?

There's not much ventilation so I thought about adding vent fans or windows to the hallways and stairwells as they all have at least 1 exterior wall.

A cheaper and easier solution I thought might be a commercial grade air purifier in each hallway and some plug in air fresheners.

Every room has 2 vent fans, a window, and a through the wall air conditioner so the rooms have good ventilation but the hallways can get stagnant, especially in the summer when it is hot(no a/c in the hallways and stairwells).

Any suggestions that don't cost a fortune?

Thanks

Hi, 

I have a large multi family property that I self manage.  It has 3 common indoor hallways that are about 120ft long 1 on each floor and stairwells.  In the past the building has allowed smoking, and I have since changed that but the hallways smell of smoke and of just a generally musty and stale air.

The tenants seem used to it but I would like to freshen the place up a bit, especially since I spent several hours a week there.  What is the best way to fix this issue?

There's not much ventilation so I thought about adding vent fans or windows to the hallways and stairwells as they all have at least 1 exterior wall.

A cheaper and easier solution I thought might be a commercial grade air purifier in each hallway and some plug in air fresheners.

Every room has 2 vent fans, a window, and a through the wall air conditioner so the rooms have good ventilation but the hallways can get stagnant, especially in the summer when it is hot(no a/c in the hallways and stairwells).

Any suggestions that don't cost a fortune? 

Thanks

When I buy an underperforming property the inherited tenants all get an introduction letter from me.  In that letter I introduce myself, explain the economics of the building clearly and honestly and I let them know what my expectations are from them and what they can expect from me.  I go into detail what improvements the property will receive and what service I will be providing them as a landlord.  I also let them know what to expect in terms of a rent increase.  I usually let them know what market rent is and that I will be raising their rent to market(within 90-180 days).  Sometimes I promise certain improvements before raising rent sometimes I do not.  I let them know that I hope they can stay but understand if they need to leave due to the rent increase.  

Obviously there is a lot of variables to this depending on the situation, the property, and what the seller has told me about each specific tenant.  99% of the time the tenants know they are way under market and will expect it to be going up after the sale so you probably aren't blindsiding them, they know its coming.  I hope you are able to keep emotions out of it or you need to hire a property manager to handle it for you.  If it makes you feel better inside offer to pay a moving service for them and first month rent at the next place.  Might cost you a few grand but you can make it back quickly with market rents and sleep good at night knowing you made every attempt to be respectable about it.

I pick the tile they pick the mortar

I pick the color they pick the paint

I pick the faucet they pick the supply lines

You get the point....  I try to let them pick as much as possible because they prefer working with certain types or brands of materials and it helps them do they job the way they are best at doing it.  I pick most of the aesthetic materials or things that are more noticeable and have more to do with the design.  Most of my contractors know what look I like and I can give them more freedom the others I have to buy more of the material for them but I always consult with them to see what materials they prefer to use and then I fit my design to that.  I also ask them to save the receipts for any material they buy and I reimburse that and they invoice me for labor.  I do this to avoid a contractor charging a 20% surcharge on materials he paid retail price for at home depot.

Step 1.  Get out of California ASAP.

Step 2.  Buy a very nice house in almost any other market for $300-400k cash

Step 3.  Keep investing and retire from the W2

This is just a personal opinion of mine but I do not understand why anyone would live in a market that costs $4500 rent or over 1M to buy a house.  Not to mention the income taxes in California....  To each their own I suppose.

I spent years testing out different softwares for management and Rentec Direct has been the best for me by far.  Its very easy to use and navigate and doesn't cost much to use.  It offers about every feature you will need and if used correctly it will make your life so much easier.  I also liked Buildium but is wasn't quite as easy to use.  Good luck!

 Just a local appliance company that offers the service.

A local appliance company put machines in a few of my commercial properties.  $0 out of pocket for me, they take care of the maintenance, theft and vandalism is on them, and they give me 40% of the revenue.  I probably don't make much if any money after paying the water and electric the machines use, but its an added amenity I can offer to the tenants that my competitors don't offer.  I would say they are likely a great investment if you have the infrastructure in place, but only if you have a couple appliance repair providers available in your area they do break down from time to time.  

I think buying with cash is smart. Although I wouldn't rule out leverage completely. Buy properties with cash and hold them for 12-24 months the real winners can be refinanced at a conservative LTV like 50-60% for capital to scale up and grow your business. The properties that are less stellar performers can be sold or kept free and clear to stay more conservative on them with the higher cash flow as a safety net.

There's huge benefits in negotiations when you're a cash buyer, I love when I'm in the position to be a cash buyer.

Banks suck.  They are annoying to deal with and they are slow.  Often times they have zero common sense and can cause you to lose a deal with bad or slow underwriting.  Keeping banks out of the equation can definitely make things more passive for you, but your buying power will be limited to your cash position.

I welcome leverage myself, responsibly of course.  But cash is king and its a great strategy, don't let anyone tell you its not.  But don't refuse leverage forever in certain times it might make sense to refi for more cash for the next deal or you might come across something bigger than a duplex that's a deal of a lifetime, pay 50% down and get a loan to get the deal done, just pay it off quick and get back to the strategy.

Good luck!